how much money should you have on the side for a down payment and closing costs and all other fees to buy a house?

Asked by jciaudella1, Buffalo, NY Sat Apr 6, 2013

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Tony Garcia’s answer
Tony Garcia, Agent, Wilmington, NC
Sat Apr 6, 2013
you can buy with as little as 3% down (conventional financing) or 3.5% with FHA (assuming it is a primary residence. in Buffalo NY closing cost will be around 3% as well. The way FHA financing is priced right now you could get the lender to cover all your closing cost so you would only need 3.5%. email me at if you would like to discuss in more detail.

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Dan Tabit, Agent, Issaquah, WA
Sat Apr 6, 2013
It really depends on your credit, the specific loan type and the lender. Having "reserves" means having something left over after your down payment and paying your closing costs. Sometimes the funds you have in an IRA or 401K account may be considered toward your reserves.
Another strategy is to ask the seller to pay your closing costs in your offer, provided the home appraises and they agree.
Start by discussing this with your lender. You need to get pre-approved before you can seriously consider shopping for a home. Your lender will discuss your loan options, credit history and the requirements you need to meet in order to buy. Then, have your lender share their findings with your agent so the best strategies can be employed with any offer you write.
Best of luck.
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Anna M Brocco, Agent, Williston Park, NY
Sat Apr 6, 2013
Be aware that a mortgage pre-approval letter is required in order to determine your price range and for any offers to be taken seriously, therefore visit with any licensed loan officer. Costs will depend on the type of loan, and he/she can provide a good faith estimate; FHA loans require a minimum of 3.5% down.
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